- EBRD is providing up to €34 million to support two solar power plants in southern Romania, co-financed by the European Investment Bank and Banca Comercială Română.
- The project marks the Romanian market entry of Scatec ASA and will deliver nearly 190 MW of new solar capacity.
The European Bank for Reconstruction and Development (EBRD) is expanding support for Romania’s renewable energy transition. The bank will provide a senior secured loan of up to €34 million. The financing will support three Romanian project companies developing two solar power plants in southern Romania.
The three project companies include Solar World SRL, RB Solar Energy SRL and Energie Soleil SRL. The funding will support the development, construction and operation of the solar facilities.
In addition, the financing forms part of a wider multi-lender structure. The European Investment Bank will provide a matching senior loan of up to €34 million. Banca Comercială Română will provide an additional senior facility of up to €17.5 million.
Meanwhile, the transaction marks Norway-based developer Scatec ASA’s entry into Romania’s renewable energy market. Scatec holds a 65 per cent stake in the project companies. Turkish engineering firm Defic Globe Energji AS holds the remaining 35 per cent.
EBRD will release the financing in two tranches. The first tranche of up to €28 million will support a 61.9 MW solar plant operating under full merchant exposure. The second tranche of up to €6 million will support a 127.8 MW solar plant operating under a 15-year Contract for Difference framework. The CfD structure provides long-term price stability.
The merchant tranche also benefits from a first-loss guarantee from the European Union. The guarantee falls under the InvestEU programme. The structure reduces project risk and supports private-sector participation in renewable energy investment.
Together, the two solar plants will deliver a combined capacity of 189.7 MW. Once operational, the plants are expected to generate about 286.9 GWh of renewable electricity annually. They will also avoid about 118,600 tonnes of carbon dioxide emissions each year.
Furthermore, the project includes a social inclusion component. Sponsors plan to launch a training programme with local technical institutions. The programme will focus on green energy and digital skills development. It will include minimum female participation targets to support gender diversity in the energy sector. The InvestEU Advisory Hub will also support technical cooperation.
Additionally, the investment supports EBRD’s role as a key implementing partner for InvestEU. The programme aims to mobilise more than €372 billion in additional investment across Europe between 2021 and 2027. Between 2022 and 2027, InvestEU guarantees worth €777 million are expected to help EBRD finance up to €3.8 billion in projects across eligible sectors.
Within Romania, EBRD has played a major role in designing and implementing the country’s CfD scheme. The scheme has attracted renewable investment by providing long-term revenue certainty for developers. The bank has also supported several CfD auction rounds. It also continues to provide direct financing and technical support across the renewable sector.
Overall, EBRD is accelerating Romania’s transition to a more sustainable and resilient energy system. The bank is also supporting wider green growth across Central and Eastern Europe through financing, risk mitigation and technical advisory support.